QUALITY REPORT. Module on Net Social Protection Benefits (Restricted approach) MEMBER STATE: REFERENCE YEAR: 2014

Transcription

1 QUALITY REPORT Module on Net Social Protection Benefits (Restricted approach) (according to the draft regulation on the collection of ESSPROS net social protection benefits and the Gentleman s agreement for the transition period (Doc. SP/2010/11/EN)) MEMBER STATE: HU REFERENCE YEAR: 2014 REPORT ISSUED: February 2017

2 Note - Referencing AITRs, AISCRs and residual fiscal benefits: When referring to tax/social contribution rates or residual fiscal benefits in the ESSPROS net social protection benefits (restricted approach) questionnaire a standard format should be applied. AITRs and AISCRs Each individual rate can be identified by the type of rate, the scheme and the benefit concerned. Based on this, the format used to identify rates should be the following: RATE_TYPE SCHEME_NUMBER BENEFIT_CODE RATE_TYPE refers to the type of levy (i.e. taxes or social contributions). For this variable the following codes may be used: T (taxes) SC (social contributions) TSC (both taxes and social contributions) SCHEME_NUMBER refers to the scheme. For this variable please specify scheme x where x is the number of the scheme. In cases where multiple schemes need to be referenced, x can be a comma separated list of scheme numbers (e.g. schemes 1, 4, 6 ). In cases where all schemes need to be referenced then SCHEME_NUMBER can be set to all schemes. BENEFIT_CODE refers to the ESSPROS benefit code. This may be a single code (e.g ) or a comma separated list (e.g , ). Aggregate level codes can be used to refer to all relevant subsidiary codes (e.g would be assumed to refer to all benefits for which taxes/social contributions are applicable in the old age function; would cover all non-means tested periodic sickness benefits, etc.). If all benefits within a scheme are affected then the value of this variable can be set to all benefits. Examples: -Referring to an AITR applied to non means-tested periodic disability pension for scheme 7: T scheme Referring to AITRs applied to all means-tested and non means-tested periodic cash benefits for old age pensions: T all schemes , Referring to AITRs applied to all means-tested and non means-tested periodic cash benefits for old age pensions for schemes 5 to 7: T schemes 5, 6, , Referring to AISCRs applied to all old age benefits for all schemes: SC all schemes Referring to AITRs and AISCRs applied to old age benefits for scheme 4: TSC scheme Referring to AITRs applied to all benefits within scheme 7 and 8: T schemes 7, 8 all benefits Residual fiscal benefits Each fiscal benefit should be referenced using the format FB BENEFIT_NUMBER where BENEFIT_NUMBER refers to the number element of the columns used to report data on fiscal benefits in the questionnaire ( Fiscal 1, Fiscal 2, Fiscal 3,. ). A comma separated list can be used to reference multiple fiscal benefits or all in case all residual fiscal benefits are affected. Examples: - Referring to fiscal benefit no.1: FB-2 - Referring to fiscal benefits 1 and 4: FB-1,4 - Referring to all fiscal benefits: FB-all Quality Report Module on Net Social Protection Benefits (Restricted approach) Page 2 of 12

3 1. Benefits liable to taxation and/or social contributions Please list all benefits reported in the ESSPROS Core system that are potentially liable to taxes and/or social contributions. Benefits subject to taxation (please specify the scheme number and codes of benefits reported to the ESSPROS Core system which are potentially liable to taxation in the format SCHEME_NUMBER BENEFIT_CODE) Benefits subject to social contributions (please specify the scheme number and codes of benefits reported to the ESSPROS Core system which are potentially liable to social contributions in the format SCHEME_NUMBER BENEFIT_CODE) scheme scheme 1, scheme , , scheme scheme scheme scheme scheme Quality Report Module on Net Social Protection Benefits (Restricted approach) Page 3 of 12

4 Note: Scheme , Scheme , scheme , and scheme , , are subject to taxation but in practice no tax is deducted. Quality Report Module on Net Social Protection Benefits (Restricted approach) Page 4 of 12

5 2. Accuracy and reliability 2.1 Data sources (part 1) Which sources of data have been used to produce the reported AITRs, AISCRs and any residual fiscal benefits. Please be exhaustive. Name of data source Type (1) Frequency of the data source in months (2) Time lag in AITRs/AISCRs/residual fiscal benefits covered (4) months (2)(3) (please list the AITRs/AISCR derived using each data source using the format: RATE_TYPE SCHEME_NUMBER BENEFIT_CODE and list fiscal benefits using the format: FB _ BENEFIT_NUMBER) Ministry for National Economy Other: Legislation 12 months - SC - scheme 1, , scheme , scheme , scheme , scheme Household Budget Survey (HBS) 2014 Survey 12 months 15 months T - scheme 1, , scheme , scheme , scheme , , , , , scheme , scheme , , , scheme Please specify: "Administrative data", "Register based data", "Survey", "Micro-simulation model", "Other". For category "Other", please specify the type. 2. Please specify: "3 months", "6 months", or "12 months" or etc. In the case of micro-simulation models, please inform on both the frequency with which the model is updated to reflect changes in the fiscal system and the frequency with which any underlying sample data are updated. 3. The time lag is the period between the reference year and the moment in which data are available from the data source. 4. For further information on the format required for listing AITRs/AISCRs/fiscal benefits refer to the notes at the top of the questionnaire. 2.1 Data sources (part 2) please note that part 1 and part 2 are in fact one table and have only been separated to facilitate the completion of the table Name of data source (Please indicate the same data sources as in table 2.1 part 1) Ministry for National Economy Household Budget Survey (HBS) Any additional information regarding this data source (i.e. report on problems that lead to estimation of data) (5) T scheme Two types of parental leave benefit, child-care allowance (gyermeknevelési segély, GYES) and child Sample (i.e. which part of benefit recipients are covered by this data source) (6) The survey for the reference year 2014 consisted of persons (9055 households) detailed socio-economic characteristics (consumption, Quality Report Module on Net Social Protection Benefits (Restricted approach) Page 5 of 12

6 bringing up subsidy (gyermeknevelési támogatás, GYET) are aggregated under the code in scheme 1 (with the refunding of the parental leave benefit for fathers that are not liable to tax or contribution). So for the net module these two benefits were also aggregated although these are reported separately in the HBS. income, marital status, housing conditions etc.). Data are provided on a voluntary basis. Thus, some people refused to participate in the survey whilst others did not report all their income sources. As a result, the sample contains fewer households with high income and more households with low income than in reality. T scheme 12, The HBS do not contain separate data on every type of benefit liable to tax or contribution in the same way they are recorded in the ESSPROS core system. The sick pay (táppénz), the child nursing sick pay (gyermekápolási táppénz) and the accident sick pay (baleseti táppénz) are all aggregated under scheme in the ESSPROS core system. However, in the HBS these three benefits are reported along with another type of paid sick leave that is recorded in the ESSPROS core system under scheme The only difference between the two types of sick pays in scheme 12 and the sick pay in scheme 13 is the source of the finance. The sick pay in scheme 12 are financed by the Social Security Fund whereas the sick pay in scheme 13 (betegszabadság, which is the first 15 days of paid sick leave in the given year) is financed by employers. The respondents generally cannot say which type of sick pay they received so it makes no sense to ask them. The estimated AITR is recorded under in both schemes (12 and 13). 5. Please fill in this column in cases of: delays, estimations, incomplete data, incomplete breakdowns of data or any other reasons that lead to estimations. In cases of data that do not provide adequate breakdowns for specific AITRs/AISCRs, please identify the rates affected using the format RATE TYPE SCHEME NUMBER BENEFIT CODE. Quality Report Module on Net Social Protection Benefits (Restricted approach) Page 6 of 12

7 6. Please indicate "Full coverage" if the data source covers the whole population of benefit recipients. If the data source contains data for only some recipients, please specify the sample and identify any ways in which the sample characteristics may differ from that of the total population of benefit recipients. 2.2 Use of multiple data sources Where appropriate (i.e. if cross data-sources are used) please indicate the AITRs, AISCRs and residual fiscal benefits derived from multiple data sources. AITRs, AISCRs or residual fiscal benefits (please list the AITRs/AISCRs affected using the format: RATE_TYPE SCHEME_NUMBER BENEFIT_CODE and list fiscal benefits using the format: FB _ BENEFIT_NUMBER) Data sources (please specify at least two data sources from those listed in table 2.1 and explain how they are used together) 2.3 Comparability (completeness of coverage) Please indicate cases where: AITRs or AISCRs could not be provided for one or more benefits or groups of benefits liable to taxes or social contributions (i.e. AITR/AISCR reported as 0 when a positive and non-zero value is expected); AITRs or AISCRs do not cover all aspects of the fiscal system. For example, the tax/social contribution rates provided cover the main elements of the fiscal system but do not cover some particular aspects (i.e. positive and non-zero AITR/AISCR reported but the value does not reflect all aspects of the fiscal system). A fiscal benefit that gives relief to taxes/social contributions paid on social protection benefits is not taken into account in AITRs/AISCRs and has not been included as a residual fiscal benefit (i.e. positive and non-zero AITR/AISCR reported and reflects all aspects of the fiscal system except a particular relief for social protection purposes, the value of which has not been reported as a residual fiscal benefit). AITRs, AISCRs or residual fiscal benefits (please list the AITRs/AISCRs affected using the format: RATE_TYPE SCHEME_NUMBER BENEFIT_CODE and list fiscal benefits using the format: FB _ BENEFIT_NUMBER) T scheme Type of incomplete coverage (please give a brief explanation as to what is not covered and the reasons for this) T scheme , accident and indemnity allowances cannot be separately identified in the HBS as there is no relevant question in the survey. Regarding the question on allowances respondents presumably reported all type of allowances, most of which are not liable to taxes and/or Quality Report Module on Net Social Protection Benefits (Restricted approach) Page 7 of 12

8 social contributions so we did not use these incomes in the estimations. The benefit started being taxed as an earning in The AITR on this benefit for 2011 and after was recorded by estimation, using the AITR for Sick pay in the scheme 12 and Paid sick leave in the scheme Comparability (coherence with the methodology) AITRs, AISCRs or residual fiscal benefits (please list the AITRs/AISCRs affected using the format: RATE_TYPE SCHEME_NUMBER BENEFIT_CODE and list fiscal benefits using the format: FB _ BENEFIT_NUMBER) Cases of non-application of the net social protection benefits (restricted approach) methodology (please provide a comprehensive list of any cases where the data reported may not fully comply with the methodology for net social protection benefits (restricted approach) for reasons other than incomplete coverage) 3. Methodologies and assumptions used to estimate AITRs, AISCRs and residual fiscal benefits AITRs/AISCRs and fiscal benefits covered (please list the AITRs/AISCRs affected using the format: RATE_TYPE SCHEME_NUMBER BENEFIT_CODE and list fiscal benefits using the format: FB _ BENEFIT_NUMBER) Estimation method (7) (please explain methodologies used for all estimations) AITR - all benefits liable to taxation We used simplified tax-system Assumptions necessary to make these estimations (please explain any important assumptions made in developing the estimations) Coverage of the fiscal system concerned (8) Quality Report Module on Net Social Protection Benefits (Restricted approach) Page 8 of 12

9 listed at 1. point of this QR. simulations to calculate the net value of these benefits. All calculations were based on HBS data. The steps of simulation are as follows: Calculating the tax base. The taxable income components were summed up individually, and this sum constituted the tax-base. Calculating the tax liability. According to the Hungarian tax rules we calculated the tax liability for each individual. The net income equals the tax base minus the tax liability. Calculating the tax ratio for each individual. Tax ratio is the ratio of the tax liability and the tax base. Calculating the AITR for each taxable benefit. The average tax burden on the taxable benefit is the ratio of the total tax liability on the benefit and the total amount of the benefit. We used population weights for calculating the average value. Taxes on benefits = (Value of benefits liable to taxes / Tax base ) * Total tax payable Quality Report Module on Net Social Protection Benefits (Restricted approach) Page 9 of 12

10 For one fiscal unit Taxes on benefits: TOB Value of benefits liable to taxes: SB Tax base: TB Total tax payable: T SB = SUM(SB1,,SBn) where SBi: social income liable to taxes AISCR - all benefits liable to contribution listed at 1. point of this QR. TOB = (SUM(SB1,,SBn) / TB)*T Then a TSBi = SBi*( TOB / SUM(SB1,,SBn)) TSBi: tax on a particular social income for 1 fiscal unit. Social contributions are levied at a flat rate so for each benefit where social contributions are applicable the rates in legislation can be applied directly. 7. If micro-simulation models are used please identify them here and mention any important assumptions that are made in the third column. 8. Please identify any aspects of the fiscal system concerned which are not taken into account. This should include fiscal benefits, marginal tax rates, tax free allowances, coverage of the tax base in calculations of tax rates which will result in deviation from the true value of the AITR, AISCR or residual fiscal benefit. Quality Report Module on Net Social Protection Benefits (Restricted approach) Page 10 of 12

11 Changes in the data sources used (9) Changes in the methods used for estimating data (10) Revisions of data due to conceptual adjustments (11) Revisions of data due to availability of final statistics (12) Other revisions of data (e.g. due to quality review actions) 4. Revision of statistics In this section please provide the details of any revisions that have been made to data submitted previously. For each revision, use the first column to indicate the AITR, AISCR or fiscal benefit that has been revised, put an 'X' in the column that corresponds to the type of the revision and, finally in the last column, provide a brief description of the revision, specifying if it is extraordinary (very rare) or ordinary (it can happen regularly). AITRs/AISCRs/fiscal benefits covered (please list the AITRs/AISCRs affected using the format: RATE_TYPE SCHEME_NUMBER BENEFIT_CODE and list fiscal benefits using the format: FB _ BENEFIT_NUMBER) Type of revision Details of the revision (please provide a brief description) E.g. new/updated data sources; additional information supplied by particular data sources; other changes in data sources. 10. E.g. changes in the methods used; revised methods to improve coherence with the ESSPROS net social protection benefits (restricted approach) methodology; other changes in methods. 11. E.g. changes in the ESSPROS net social protection benefits (restricted approach) methodology; in the social protection system; in classifications or definitions other than ESSPROS; etc. 12. E.g. final figures are provided by the data sources; or provisional estimations are replaced by information that was missing in the last data collection; etc. 4. Other information related to Quality 4.1 Quantitative data Quality Report Module on Net Social Protection Benefits (Restricted approach) Page 11 of 12

12 4.2 Qualitative information* *E.g. If there are some items not covered by QI, please specify the reason and, if it is possible, their relative importance in respect to the total expenditure, etc. 4.3 Dissemination policy in the country* Are these data published in your country? (13) Only the data on the basis of Household Income and Living Condition Survey are available in website: tables At what timeliness? (in months) (14) 18 months compared to income reference year State any specific publication (and eventually the link) No specific publication No Are they part of regular publications? (yes or not) *Optional 13. Please specify "yes everything", "yes, only the following part ", "yes, but not in the ESSPROS format" or no". In case of "yes, but not in the ESSPROS format", please explain. 14. Please specify how many months after the period of reference the data are published (period of reference = 31 st December of the reference year). Quality Report Module on Net Social Protection Benefits (Restricted approach) Page 12 of 12